From competition to coopetition

: LET’s strategy to survive the pandemic crisis

Abstract

The Case Study details the growth of Live Electric Tours (LET) – a Portuguese provider of innovative and differentiated solutions for electric mobility for tourism – that has been confronted with a strategic challenge.Having won several prices and attracted multiple investments, LET was able to expand its business in terms of location and operation. As LET envisioned itself on the fast track, the plans to grow on a European and international level considered different market entry strategies: partnerships, franchising, acquisition or opening own stores. However, everything turned out differently than expected. COVID-19 has disrupted LET’s growth plans, ending in a pure fight for survival. Operation bans and limited travel ability have created a tremendous burden on LET’s stable sales pipeline, with revenues dropping to zero. As a short-term solution, LET engaged into strategic alliances with its competitors in order to withstand the crisis. However, once the crisis is over, LET planned to revive its growth plans.The Dissertation includes a Literature Review of relevant topics for the Case subject, such as strategic alliances and franchising. It also offers an analysis of the key issues of the Case in the Teaching Note section.Ultimately, the objective is to advise LET on its most suitable growth strategy, considering its competitive partnerships as well as LET’s and the industry’s prevailing critical condition. The challenge remained if cooperating or competing was more suitable and if a shift from a coopetition to a franchise model seems feasible.

Date of Award	28 Jan 2021
Original language	English
Awarding Institution	Universidade Católica Portuguesa
Supervisor	João Cotter Salvado (Supervisor) & Nuno Magalhães Guedes (Co-Supervisor)